Five More States Join FTC Privacy Lawsuit Against Hims & Hers

Five US states have joined the Federal Trade Commission's lawsuit against Hims & Hers Health, deepening the legal exposure of one of the country's largest telehealth companies over its data and billing practices. The FTC announced the expanded action on Oct. 10, roughly three months after it first sued the firm in July.

What does the amended complaint allege?

The core accusation is a contradiction between what the company promised and what it did. According to the FTC, Hims & Hers shared consumers' sensitive health information with third-party advertising platforms — including Meta Platforms and Snap — despite claiming that its services maintain consumer privacy.

The case also contends the company deceives users about its billing and cancellation practices. Specifically, the FTC alleges Hims & Hers charges users for prescription drugs before they meet with healthcare providers, and that it makes canceling subscriptions difficult.

The amended complaint, filed in the US District Court for the Northern District of California, now includes Arizona, Florida, Nebraska, Ohio and Wisconsin. Those five states allege violations of their own consumer protection laws in addition to federal statutes. Los Angeles County and Utah joined the action when the FTC initiated it in July, bringing the total number of state and local co-plaintiffs to seven.

That growing roster matters. Each added jurisdiction increases the potential penalties and widens the range of state laws the company must answer for — though the complaint's substance, in the states' portion, tracks the federal allegations.

How has the company responded?

Hims & Hers has rejected the claims. "We will vigorously defend ourselves against these follow-on claims, which rely on the same flawed allegations advanced in the government's lawsuit," a company spokesperson said.

The choice of words is notable. By framing the new state claims as "follow-on" and "flawed," the company is arguing the expanded coalition adds no new substance — only more litigants. Whether courts accept that framing will hinge on how the state consumer-protection claims, which can carry independent remedies, are treated separately from the federal case.

The company did not, in its statement, address the specific allegation at the heart of the dispute: that health data flowed to advertising platforms while the company publicly promised privacy. That silence leaves the central factual question unanswered outside of court filings.

Why does this company matter?

Hims & Hers is one of the largest telehealth players in the market for weight-loss drugs, a segment that has grown explosively as GLP-1 medications reshaped consumer demand. The company also treats erectile dysfunction, hair loss and mental health conditions, shipping prescriptions directly to customers.

That direct-to-consumer model is precisely what the FTC's allegations target. The claims about charging before provider consultations and difficult cancellations go to the mechanics of how subscriptions are sold and maintained — not to the medicines themselves.

What is happening to the business?

The legal pressure arrives alongside financial strain. The company cut its full-year core profit forecast on Monday, citing higher costs tied to its pivot to branded weight-loss drugs and international expansion, which the company said pressured margins.

A lowered profit outlook while defending a multi-jurisdiction lawsuit creates a two-front problem: legal costs on one side, margin compression on the other. Neither development, on its own, threatens the business — but together they narrow the company's room for error.

The next concrete milestone will be the company's response to the amended complaint in the Northern District of California, and whether additional states choose to join before that filing deadline passes.